They’re going to try to dump this on DJT. Paint him as the bad guy. “Trump to California: Drop Dead.”
This will somehow become Trump’s fault.
“Pension payouts depend on the contributions of current workers, and as the labor force dwindles, so does the money available.”
For most states the governments failed to set aside money for pension funds. It isn’t that the money wasn’t there. The money was spent on other things. In most states the governments were aware that the problem was only getting worse, but they continued to spend money they should have set aside, secure in the knowledge that the system would not fail on their shift. Well, the end is here.
Florida’s system is secure because the law requires the system to be fully balanced at the end of each year. The legislature has done exactly that. It can, therefore be done. But let’s face it, for the most part politicians exist to funnel money to their cronies and through circuitous routes to their own back pockets. That’s were the various unions and former state workers should start looking for it.
Nonsense, Obama used the 1 trillion stimulus funds to sure up the union pension funds. The invested in the stocks which went up with Qe low interest fed rates.
We have the same nonsense in Illinois. Government employee pensions are protected by the state constitution. So bypass changing the state constitution by declaring the pension funds insolvent, then let the government retirees live off SS.
The game was rigged.
The politicians allowed public employee unions.
The union collect money from their members.
The union passes some of this money back to the politicians.
The politicians increase wages and benefits.
Rinse and repeat.
The taxpayers do not have a seat at the table but they are expect to pay.
‘Bleak future’? Pfft. More bleak than mine. I’ll have worked 47 years when done and when I get the last paycheck, that will be it. $0.00 coming my way after that last direct deposit on the last payday. And no, I’m not counting on a penny of Antisocial Security. I just consider it a 7.65 percentage point surtax on the Internal Revenue Code, and you should too.
I don’t want their stinking paupers alms anyway.
When it comes to pensions: the government can giveth and the government can take away. They can just pass a law and give them 30 cents on the dollar promised. The smart and easy solution would be to cap the monthly pension payments such that it remains within budget. All the politically connected would be screaming about their high 6 figure pensions going away, but too bad.
Just try doing what the Democrat politicians do.
Open a savings account at a bank.
Put $1,000 into the savings account.
Take out the $1,000 and buy hookers and booze.
Come back a month later and take out the $1,000 again to pay your mortgage.
What?
There’s no money in the account?
Go hold up your neighbors.
A headline that stands out for its level of stupidity, even in 2016.
As long as taxpayers have 2 pennies to rub together public employee pensions will never be unfunded. They’ll steal one penny and charge you the other penny for the service.
Quibble but budget shortfalls do not "spread". It's not communicable. They start with in the city or state being fiscally irresponsible
The public pension defined benefit scheme is a house of cards built by pols and union bosses to keep their own jobs and making false promises to union workers.
Do they have a clue how much money in present dollars it takes to pay a retired police officer $70 grand a year for 35 years AND provide healthcare? It’s close to 4 MILLION DOLLARS! How many 50 or 55 year olds who worked in blue collar type jobs have 4 million in their 401 K at 55?
The answer is NONE.